Updated Minimum Wage Rates For Agricultural And Industrial Workers: What You Need To Know

The Union government announced an increase in central minimum wages for agricultural and industrial workers, a revision aimed at addressing rising prices, on Thursday.

This adjustment, as outlined in a notification from the central labour commissioner, reflects the government's commitment to improving worker compensation in various sectors.

Photo Credit: PTI

Under the Minimum Wages Act of 1948, both central and state governments have the authority to set, review, and revise the minimum wages for workers in sectors that fall within their jurisdiction. The recent hike will significantly benefit workers involved in construction, loading and unloading, security services, janitorial roles, housekeeping, mining, and agriculture. The new wage rates will come into effect on October 1, 2024, following a previous increase in April of this year.

A minimum wage, or floor wage, represents the lowest compensation that employers are legally required to pay their workers, which cannot be overridden by individual contracts.

New Wage Rates

The revised minimum wage rates are as follows:

• Unskilled Workers (e.g., construction, sweeping, cleaning, loading & unloading): ₹783 per day or ₹20,358 per month, whichever is higher.
• Semi-Skilled Workers: ₹868 per day or ₹22,568 per month.
• Skilled Workers, Clerical Staff, and Watch and Ward Staff (without arms): ₹954 per day or ₹24,804 per month.
• Highly Skilled Workers and Watch and Ward Staff (with arms): ₹1,035 per day or ₹26,910 per month.

These revisions are conducted bi-annually, linked to the Consumer Price Index for Industrial Workers, which monitors price changes in a basket of goods relevant to the labour pool.

This increase is expected to enhance the livelihoods of many workers, providing better financial security in the face of rising living costs.